Totally unprofessional and got us further in debt. We can't live! Our lives are a misery!
We took out an iva over 5 years. The 5 years is coming to an end so we ring to see when it actually finished.
We are told we have a further £19,000 left to pay. Bear in mind the initial debt was for £30,000 and we have been paying £600 per month for 5 years. That's £36,000.
Now i understand there is interest on top of that but to owe a further £19k!!!!
The company has been asked to provide on many occasions a statement of balance and not once over the past 5 years has it been provided.
Numerous phone calls have been made to ask for this and calls are never returned.
They change the amount to be debited out of the bank without informing us which takes us even further past out overdraft.
We always update them with earnings when asked and they were constantly asking for more money than we could physical afford.
This company makes me sick to my stomach. They are meant to help people out of debt not put them further in it!!
I feel completely useless and don't know what to do. Can you advise please
Do you own your home or rent? If you own there might be a further year to be added to the IVA.
Any potential for payment increases will be in your agreement and you should get to keep at least half of any overtime, pay rises, bonus etc.
A statement of balance isn't really feasible as it changes on a daily basis due to dividends out and statutory interest added. In any event. it is rare that this figure is achieved and is really notional.
My opinions are merely that .. opinions based on experience. Always seek professional advice.
IVA Completed 23rd July 2013 .... C.C. 10th January 2014
The figures they are giving you as a balance are only relevant if you will be paying back the full original debt plus fees plus statutory interest.
The amount you actually have to pay back is your monthly amount times by the number of payments left (taking into account any 12 months in lieu of equity).
The debit payments they take should only change after an annual review (or if you have earned extra money) and they should inform you before that is done.
The outcome of the annual review usually will show the debts plus fees and how much you have paid into it as well as how the money has been distributed to your creditors.
Usually it has a set term - standard is 5 years plus if you have equitable interest in a property of more than £5k then it is often extended for a further year to 6.
You would only pay the full balance back of your debts if you are able to before the normal end date came to an end.
Did you ask them for settlement figure? This might be why they have told you £19k.
Shame you can't simply pick up the phone and speak to someone to understand this.
